BILL ANALYSIS �
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|SENATE RULES COMMITTEE | AB 983|
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THIRD READING
Bill No: AB 983
Author: Melendez (R)
Amended: 7/1/14 in Senate
Vote: 21
SENATE BUSINESS, PROF. & ECON. DEVELOP. COMM. : 10-0, 6/10/13
AYES: Lieu, Emmerson, Block, Corbett, Galgiani, Hernandez,
Hill, Padilla, Wyland, Yee
SENATE JUDICIARY COMMITTEE : 2-3, 7/2/13 (FAIL)
AYES: Walters, Anderson
NOES: Corbett, Jackson, Leno
NO VOTE RECORDED: Evans, Monning
SENATE JUDICIARY COMMITTEE : 7-0, 6/24/14
AYES: Jackson, Anderson, Corbett, Lara, Leno, Monning, Vidak
ASSEMBLY FLOOR : 72-3, 5/9/13 - See last page for vote
SUBJECT : Self-service storage facilities
SOURCE : California Self Storage Association
DIGEST : This bill modifies the California Self-Service Storage
Facility Act (Act) to allow (1) self-service storage facility
occupants to opt-in to receiving required notices by electronic
mail (e-mail); (2) self-service storage facility owners to have
a vehicle, watercraft, or trailer towed from the facility if
rent and other charges have not been paid for 60 days, provided
the owner sends the occupant a 10-day advance notice, as
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specified; and (3) parties to create additional rights, duties,
and obligations in a rental agreement, including the right to
limit the value of property an occupant may store in the storage
space.
ANALYSIS :
Existing law:
1. Specifies remedies and procedures for self-service storage
facility owners when occupants are delinquent in paying rent
or other charges.
2. Defines "last known address" as an address provided by the
occupant in the latest rental agreement or in a subsequent
written notice of a change of address.
3. Provides that any lien on a vehicle or vessel subject to
registration or identification under the Vehicle Code which
has attached and is set forth in the documents of title to
the vehicle or vessel shall have priority over any lien
created pursuant to the Act. Provides that any lien created
pursuant to the Act on a vehicle or vessel subject to
registration or identification under the Vehicle Code shall
not include any charges for rent, labor, or other services
incurred pursuant to the rental agreement, accruing more than
60 days after the date the lien imposed.
4. Provides that if the preliminary lien notice has been sent
and the total sum due has not been paid within 14 days of the
termination date specified in the preliminary lien notice,
the lien imposed by the Act attaches as of that date and the
owner may deny an occupant access to the space, enter the
space, or remove any property found therein to a place of
safekeeping.
5. Requires owners to send occupants a notice of lien sale that
states the property will be sold to satisfy the lien after a
specified date that is not less than 14 days from the date of
mailing unless the amount of the lien is paid; or the
occupant returns a declaration in opposition to lien sale in
a specified form under penalty of perjury.
6. Provides that if the completed "declaration in opposition to
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lien sale" is not received by the owner prior to the date
specified in the notice of lien sale, then the owner may sell
the property, as provided.
7. Provides that nothing in this Act is construed to impair or
affect the right of the parties to create additional rights,
duties, and obligations in and by virtue of the rental
agreement.
This bill:
1. Provides, in addition to the right to foreclose on a vehicle,
watercraft, or trailer, the owner of a self-storage facility
may have the vehicle, watercraft, or trailer towed from the
premises if rent and other charges have not been paid for 60
days and all required notices have been sent. Provides that
not less than 10 days before having the vehicle towed, the
owner shall send notice by first-class mail with certificate
of mailing to the occupant's last known address, stating the
name, address, and telephone number of the towing company and
the street address of the location where the towed property
can be redeemed. States that a towing company must be
licensed, as specified. States that when a towing company
takes possession of the vehicle, watercraft, or trailer, the
owner of a self-storage facility shall not be liable for the
property or damage to the property.
2. Provides that an owner of a self-storage facility may send
notices required by the Act to an occupant via e-mail if the
occupant expressly agrees to accept notice via e-mail, if the
rental agreement specifies in bold type that notices will be
given to an occupant by e-mail, and the owner informs the
occupant of the e-mail address from which notices will be
sent.
3. Modifies the definition of "last known address" to mean the
postal or e-mail address provided by the occupant, as
specified.
4. Provides that a notice of lien sale and declaration in
opposition to lien sale must be sent via postal mail to an
occupant's last known address if, upon sending these notices
by e-mail, the owner does not receive a reply or receipt of
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delivery.
5. Provides that the Act shall not be construed to impair or
affect the right of the parties to create additional rights,
duties, and obligations in and by virtue of the rental
agreement, including, but not limited to, the right to limit
the value of the property the occupant may store in the
storage space.
Background
The Act governs self-service storage facilities and specifies
certain procedures to be followed when their occupants are
delinquent in their rental payments. When an occupant is
delinquent, the owner must first send a preliminary lien notice
that informs them that if they do not pay the amount due that
their right to use the space will terminate, they will be denied
access, and that an owner's lien will be imposed on all stored
property. If the occupant fails to pay the amount, the owner
may then send a notice of lien sale, which states that the
property will be sold to satisfy the lien on or after a
specified date (not less than 14 days after mailing) unless (1)
the amount of the lien is paid; or (2) the occupant executes and
returns a declaration in opposition to the lien sale. If that
declaration is executed and returned, the owner must file an
action in court to enforce the lien.
FISCAL EFFECT : Appropriation: No Fiscal Com.: No Local:
No
SUPPORT : (Verified 7/1/14)
California Self Storage Association (source)
A Storage Place - Hemet
American Self Storage
American Self Storage of Santa Maria
American Self Storage of Stockton
Caster Properties/A1 Self Storage
Chancellor Group, Inc.
RV Storage Depot
Schmitt & Co.
Security Public Storage
SKS Management
Storage Solution
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StoragePRO, Inc.
Sure Save American Self-Storage
ARGUMENTS IN SUPPORT : According to the author's office, the
California Self Storage law has not been updated for some time
and this bill makes several changes to the Act to update the law
and makes it more current with other states.
ASSEMBLY FLOOR : 72-3, 5/9/13
AYES: Achadjian, Alejo, Allen, Ammiano, Atkins, Bigelow, Bloom,
Blumenfield, Bocanegra, Bonilla, Bonta, Bradford, Buchanan,
Ian Calderon, Campos, Chau, Ch�vez, Chesbro, Conway, Cooley,
Dahle, Daly, Donnelly, Fong, Fox, Frazier, Beth Gaines,
Garcia, Gatto, Gomez, Gordon, Gorell, Gray, Grove, Hagman,
Hall, Harkey, Roger Hern�ndez, Jones, Jones-Sawyer, Levine,
Linder, Lowenthal, Maienschein, Mansoor, Medina, Melendez,
Mitchell, Morrell, Mullin, Muratsuchi, Nazarian, Nestande,
Olsen, Pan, Patterson, Perea, V. Manuel P�rez, Quirk,
Quirk-Silva, Rendon, Salas, Skinner, Stone, Ting, Torres,
Wagner, Weber, Wieckowski, Wilk, Williams, John A. P�rez
NOES: Brown, Eggman, Yamada
NO VOTE RECORDED: Dickinson, Holden, Logue, Waldron, Vacancy
MW:d 7/2/14 Senate Floor Analyses
SUPPORT/OPPOSITION: SEE ABOVE
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